September 23, 2025
An insurer for a securities broker-dealer does not owe coverage for $3.3 million the company paid to settle claims that an employee defrauded clients, a New York federal court ruled Tuesday, finding that the settlements are not a direct loss covered under the company's policy.
December 01, 2021
A broker-dealer asked a New York federal court Wednesday to order its insurer to cover $3.3 million in losses stemming from an employee tricking company clients into sending him money, slamming the insurer for denying coverage because the stolen money was transferred from noncompany accounts.